ZIM Integrated Shipping Services Ltd ZIM shares are on the move Monday morning after the company reported better-than-expected financial results.
What Happened: ZIM said fourth-quarter revenue decreased 37% year-over-year to $2.19 billion, which beat average analyst estimates of $2.11 billion, according to Benzinga Pro. The company reported fourth-quarter earnings of $3.44 per share, which beat estimates of $3.05 per share.
Adjusted EBITDA for the fourth quarter came in at $973 million. ZIM sees full-year adjusted EBITDA in a range of $1.8 billion to $2.2 billion. Adjusted EBIT is expected to be between $100 million and $500 million.
The company also declared a dividend of $6.40 per share for the fourth quarter.
“While macroeconomic uncertainties, the precipitous decline in freight rates over the past few months and the supply-demand imbalance continue to drive a challenging near-term outlook for container shipping, we are confident in ZIM’s strategy,” said Eli Glickman, president and CEO of ZIM.
In 2023 and beyond, ZIM said it plans to focus on leveraging digital strategies, operating a high-quality sustainable fleet and further implementing its global niche strategy.
Jefferies analyst Omar Nokta reiterated ZIM with a Hold rating and maintained a price target of $20.
ZIM Price Action: ZIM shares have a 52-week range of $16.23-$91.23.
The stock was up 13.3% at $22.18 at the time of writing, according to Benzinga Pro.
Photo: Bellergy RC from Pixabay.
Image and article originally from www.benzinga.com. Read the original article here.